Singapore and the Republic of Korea strengthen collaboration to facilitate the shift toward a low-carbon economy
A significant stride in cooperation between Singapore and the Republic of Korea has been marked by the signing, on 21 November 2023, of a Memorandum of Understanding (MOU) dedicated to the realms of energy and climate change. The MOU, a product of the joint efforts of Dr. Tan See Leng, Second Minister for Trade and Industry of Singapore, and Ahn Dukgeun, Minister for Trade of the Republic of Korea, exemplifies their commitment to advancing sustainable development.
The commitment extends to the establishment of discussion platforms dedicated to energy and climate change, exploration of potential collaborative endeavours rooted in shared interests, and the encouragement of relevant stakeholders to explore business prospects in Singapore, the Republic of Korea, and other global markets.
The MOU’s focal points encompass five critical areas: (a) the formulation of long-term emissions reduction strategies and low-emissions pathways, (b) the promotion of sustainable trade practices conducive to a low-carbon economy, (c) standards, certifications, and mutual recognition, (d) advancements in energy technologies, and (e) fostering business cooperation among private entities.
Singapore and the Republic of Korea enjoy robust bilateral economic ties, fortified by the Korea-Singapore Free Trade Agreement and the Korea-Singapore Digital Partnership Agreement. In 2022, the Republic of Korea emerged as Singapore’s 7th largest trading partner, with bilateral merchandise trade amounting to S$70.9 billion, marking a 26% increase from 2021. Investment flows between the two nations also surged, with an average annual increase of 21% observed from 2017 to 2021. By the end of 2021, the Republic of Korea held the position of Singapore’s 5th largest source of investments and the 9th largest investment destination.
A joint working group, comprising government officials from both sides, will oversee the seamless execution of this MOU, reflecting the dedication to advancing cooperative efforts in the domains of energy, climate change, and sustainable development.